Benzinga - by Mohit Manghnani, Benzinga Editor.
Today's top stories for McDonald's Corp. (NYSE: MCD) encompass a labor-related compensation case in Brazil, a racial discrimination lawsuit in Chicago, and the introduction of a new McFlurry flavor in Australia.
Franchise Labor Issues:
In Sao Paulo, Brazil, a court has mandated a McDonald's franchise owner to compensate a former manager with $17,500 after he gained 65 pounds during his 12-year tenure.
The manager attributed his weight gain to mandatory food sampling for quality checks and complimentary employee meals.
Separately, in Canton, Ohio, another McDonald's franchise owner is under scrutiny for distributing political messages with employee paychecks, endorsing specific Republican candidates.
This act, which included campaign leaflets, has been denounced by McDonald's corporate and regional offices as a violation of company guidelines, the Riverfront Times reports.
Racial Discrimination Lawsuit:
A Chicago federal judge has rejected the dismissal plea of a lawsuit accusing McDonald's of racial discrimination and retaliation.
The litigation alleges that the company marginalized a Black executive after he criticized CEO Chris Kempczinski for seemingly holding the parents of a girl, shot at a McDonald's drive-thru, responsible for her demise.
The judge's ruling emphasized that the plaintiff's remarks during a meeting with Kempczinski and other company officials indicated he was addressing racially sensitive behavior and advocating for African-American employees.
While claims of a hostile work environment and intentional emotional distress were dismissed, the remaining allegations of racial discrimination and retaliation will advance to trial. This legal challenge could influence McDonald's stock, Asia One reports.
New McFlurry Flavor:
McDonald's Australia is gearing up to introduce the Milo McFlurry, adding to their assortment of fusion McFlurries.
The announcement of this new dessert on social media has stirred enthusiasm among fans.
Available for a limited period from September 27th, this addition could sway McDonald's stock as the company grapples with market competition.
There are also hints of the potential introduction of other fusion McFlurries, like the Lotus Biscotti McFlurry, in Australia, LADbible reports.
Disclaimer: This article was developed with the aid of artificial intelligence and Ultima Insights and underwent an editorial review.
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